AUSTIN, Minn. -- Hormel Foods Corp. said it has entered into a definitive agreement to sell Diamond Crystal Brands Inc. to an affiliate of Peak Rock Capital LLC.
Founded in 1980, Diamond Crystal Brands is a manufacturer and distributor of customized foodservice solutions, including sauces, dressings, condiments, drink mixes, salt, pepper, sweeteners and other food and beverage products. Based in Savannah, Ga., and operating out of seven facilities nationwide, the company offers products to a diverse customer base of foodservice distributors, national restaurant chains and convenience stores.
Its brands include Café Delight syrups and sweeteners, Skippy peanut butter, Treemont Farms jams and jellies. Herdez desserts, Flavor Fresh condiments and Wholesome sweeteners.
Hormel Foods will retain Hormel Health Labs, a provider of nutritional foods and beverages developed specifically for individuals with special dietary needs.
The companies are making plans to ensure a smooth transition for the customers and employees of Diamond Crystal Brands.
Austin, Texas-based Peak Rock Capital is a middle-market private-equity firm that makes equity and debt investments in companies in North America and Europe.
Hormel Foods will provide financial details related to this transaction during its second quarter earnings conference call scheduled at 7:00 a.m. CT on Wednesday, May 18, 2016.
The transaction is subject to customary closing conditions, including the receipt of regulatory approvals. The companies expect the deal to close within 30 days.
Hormel Foods, based in Austin, Minn., is a multinational manufacturer and marketer of consumer-branded food and meat products.
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